Dubai-based group gears up for gas and oil exploration in Tanzania

The Dodsal Group, a Dubai-based global business conglomerate, has set to expand its natural gas business with their onshore concession for oil and gas exploration in Tanzania.

In July 2015, the group had its first natural gas discovery of 2.17 TCF in the Mambakofi and Mtini region of the East African state.

However, updated studies have raised the estimated deposit to 2.7 TCF with a potential maximum of 3.8 TCF, Dodsal said in a statement.

"Based on the current market prices, the gas resource is valued at least eight billion U.S. dollars," said the group.

In addition, Dodsal's third well at Mbuyu encountered a large gas column, which is estimated to contain up to 5.9 TCF of gas.

With oil and gas concessions following an agreement in 2007, the group is currently undertaking studies for prospective gas resources, which "could catalyze Tanzania's position as a leader in the natural gas sector in east Africa."

Dodsal has already invested 200 million dollars, and plans to input another 300 million dollars in Tanzania over the next 24 months to support its exploration and production activities, including setting up a system to bring gas to the market.

Tanzania's largest onshore gas discovery is located in the Ruvu Basin Coast Region, only 50km from the capital city of Dar es Salaam.

The gas reserves will enhance the reliability of clean energies in the country, and drive social and economic growths. With the new discovery, the nation's total estimated natural gas reserves exceed 57 TCF.

Dr. Rajen A. Kilachand, Chairman and President of the Dodsal Group, said the significant discovery will boost the economy and strengthen its all-round competitiveness. Endit